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Challenges and Opportunities for the Design and Development of Intelligent, Sustainable and Resilient Personalized Product-Service Systems Towards Industry 5.0

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Abstract

The increasing consumer demand for personalized and customized goods and services in the manufacturing sector presents significant challenges. Limited research has been conducted on integrating the mass personalization paradigm into the Industry 4.0 framework. However, there is potential to enhance collaboration between the Internet of Things (IoT), machinery, software systems, and human operators through this paradigm, which can serve as a strategy for high-tech manufacturing automation. While Industry 4.0 has primarily focused on technological advancements, the emergence of Industry 5.0 initiatives in various countries reflects a growing emphasis on human-centric aspects. Industry 5.0 represents a shift towards a people-oriented strategy aimed at creating technologies, systems, and services that promote sustainability and human well-being. This societal transformation will lead to the emergence of Society 5.0, characterized by its superintelligent nature. Within this context, the democratization of knowledge co-production is facilitated by advanced digital technologies, underpinned by three pivotal pillars: human-centricity, resilience, and sustainability. To that end, this chapter aims to explore the role of digital technologies in facilitating the design and development of Personalized Product-Service Systems (PSS) within a human-centric resilient manufacturing framework. It investigates how intelligent systems, sustainability principles, and resilient practices can be leveraged to meet the evolving needs of customers while promoting social well-being and sustainability within the Industry 5.0 paradigm. Furthermore, data-driven approaches will be explored as part of the Everything as a Service (XaaS) paradigm, enabling the analysis and utilization of large datasets to inform decision-making and enhance the customization and personalization of PSS.

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This paper aims to present a landscape of interests that are emerging for the future of maintenance in Industrial Product-Service Systems. Across manufacturing industries there is growing interest to integrate products and services, where maintenance has a key role in delivering performance driven solutions (e.g. availability). It is observed that industry is aiming to gain competitive advantage, and the customer is increasingly intending to transfer the risks and uncertainties as reflected in contracts. The shift towards services is also putting more pressure on industry to accurately predict service requirements in terms of resulting cost and performance that enables the service provision. In light of these drivers, technologies and organisational themes are emerging to reduce uncertainty and cost for the in-service phase as explained and discussed in the paper.
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More and more companies are beginning to move beyond manufacturing as a sole source of profit by offering integrated bundles of physical goods and services. This phenomenon has become popularly known as servitization, or the establishment of product–service systems (PSSs). Additionally, since the success of the Japanese after WWII and the subsequent popularization of the term “Lean Production” in the 1990s, lean too has almost become a nirvana for the majority of producers. Lean has also found its way into service operations, yet there is an apparent lack of knowledge when it comes to combining the successes associated with lean thinking with the potential of PSSs. Therefore, in this paper, we make use of two best-in-class lean companies that are recognized for excellence in both product and service offerings in order to analyse PSS operations in light of lean thinking. As such, we adopt a multiple case study approach in order to propose a framework for lean product-oriented product–service systems.